U.S. national debt crosses $30 trillion for the first time, experts say

2022-06-01 0 By

The US national debt topped $30 trillion for the first time, surpassing the size of the US economy last year at $23.04 trillion, according to data released by the Us Treasury Department on Thursday.According to the New York Times, the total outstanding public debt in the United States stood at $30.01 trillion as of January 31, up nearly $7 trillion since the end of January 2020.The $3 billion includes $23.487 trillion held by the public, $6.525 trillion held in government accounts such as federal Trust funds, and nearly $8 trillion from foreign investors, including Japan and China, the top two foreign creditors to the United States, that will eventually have to be repaid with interest.The $30 trillion mark came earlier than expected, the report said.In December 2007, before the 2008 financial crisis, the total was $9.2 trillion.From the great recession began in 2008, the U.S. debt soared in the past few years, especially during the outbreak of the new champions league, the federal government has taken a huge fiscal and monetary stimulus policy, a large number of raising the dollar and Treasury bonds, injected ample liquidity to the market, buffer the impact of the crisis on the economy, the rapid growth of the total amount of U.S. debt.In response, Michael Peterson, CEO of the Peter Peterson Foundation, issued a stark warning: “Crossing the $30 trillion mark is clearly an important milestone in our perilous fiscal trajectory.”Peterson also stressed that the mounting federal debt is the result of “chronic fiscal irresponsibility” on the part of both parties in Congress.Too many times in the past few decades, Politicians in Washington have opted for tax cuts or government spending programs instead of thinking about America’s future.He urged U.S. policymakers to get serious about addressing government debt and restoring fiscal sustainability.On the other hand, many of the current federal pandemic assistance programs authorized by Congress have expired, leaving Americans with less financial assistance than in the early days of the pandemic, while the Federal Reserve has signaled interest rate hikes to combat high INFLATION in the United States.This article is an exclusive article, shall not be reproduced without authorization.